Category: median vs mean

This is part 2 of my series on median vs mean. In offline media, the concepts of CUME (cumulative audience) and GRP (gross rating points) are fundamental to understanding reach and frequency. These same concepts apply to internet marketing but are often misunderstood or ignored. Understanding the difference between reaching many people once vs. reaching fewer people many times is crucial for effective marketing strategy. The median user experience is very different from the mean, and this has huge implications for how you optimize your marketing spend.

This is one of the most important concepts in web analytics that I think is misunderstood. When you look at averages for your website – average time on site, average page views, average revenue per user – you’re looking at the mean. But the median tells you what the typical user experience actually is. And these two numbers can be very, very different. Understanding this distinction is key to making good decisions about your website.